Inventories data sends crude oil prices lower

Metals prices were higher on Thursday after the US dollar declined in response to lower than expected gross domestic product figures for the first quarter.

August gold was up $7.40 by early afternoon trade in New York to trade at $666.70 per troy ounce after having sold as high as $663.50 and as low as $667.50 in morning trade. July silver was 25 cents higher to $13.47 per troy ounce after trading between $13.38 and $13.56 earlier. Platinum contracts for July were $21.80 higher to $1,285.80 per troy ounce after trading as high as $1,286.50 during the morning session.

Among base metals, July copper gained 9 cents to $3.40 per pound, its highest level so far on the day.

Crude oil prices rose early in the session after the US Energy Information Administration released its weekly inventories report. By early afternoon, however, West Texas Intermediate crude for July delivery had dropped 78 cents to $62.71 per barrel on the New York Mercantile Exchange. Nymex July gasoline was down 3 cents to $2.1535 per gallon. Average at-the-pump prices for gasoline were also lower in the United States, down to $3.191 per gallon according to the Automobile Association of America. Last week, pump prices reached a record high $3.227 per gallon nationwide.

The new data from the EIA showed that crude oil stockpiles were down by 2 million barrels in the week ending May 25. A gain of 700,000 barrels of crude in storage had been expected. Gasoline inventories were up by 1.3 million barrels, about what had been anticipated. Distillates, including diesel and heating oil, were up but only by 100,000 barrels rather than the 700,000-barrel gain that had been predicted. Refinery utilization was at 91.1 percent, the same as the week before, while analysts had expected usage to go up by 0.6 percent.

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